Spanish operator Masmovil signed an agreement to acquire MVNO Lycamobile Spain from Lyca Group for €372 million to bolster its prepaid segment.
In a translated statement, the potential acquisition of Lycamobile was highlighted as an important step in the prepaid segment for Masmovil, after acquiring other MVNOs in Spain over the last three years, namely Llamaya for €29.7 million and Lebara for around €55 million.
Masmovil said Lycamobile’s 1.5 million customers will take its total connections to 10.4 million: at end-December 2019 the combined figure for mobile and broadband subscribers stood at 8.9 million
Lycamobile is expected to contribute more than €75 million in EBITDA from 2021, mostly in savings from using Masmovil’s networks.
Masmovil will retain the Lycamobile brand for the foreseeable future.
In a separate statement, Lyca Group founder and chairman Allirajah Subaskaran, said the traditionally MVNO geared company will turn its attention to expanding its global presence through MNO launches in new markets.
Recently the company launched in Uganda, and currently operates in 23 markets.
UK-based Lyca Group launched its Spanish MVNO service in 2010, targeting ethnic communities with the proposition of affordable international calls. Masmovil stated Lycamobile Spain generated revenue of €132 million in 2019.Subscribe to our daily newsletter Back